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because there is no natural law that says Gold/Bitcoin will do well during inflation. Like all non-cash generating assets, it is driven by supply/demand and spe
by deltree7 4y ago
because there is no natural law that says Gold/Bitcoin will do well during inflation. Like all non-cash generating assets, it is driven by supply/demand and speculation (nothing to do with inflation protection)
It is the snakeoil people who promised that and gullible idiots believed/memed/tiktoked that.
- mattwilsonn888 4y agoInflation is a money supply issue, especially right now - money supply is directly relevant to inflation and hard assets. The reason these assets are not up is because the Fed is threatening huge constrictions to the supply of money which people are currently believing.
- deltree7 4y agoWrong! A plot of land in rural Arkansas has been stable irrespective of Money Supply. The value of grain of sand on the beaches of South Carolina have been same. OTOH, Bitcoin is not an hard asset :) Hard/Soft classification are used by naive doomer-preppers (aka Peter Schiff). Assets are things that produce cash flow, rest is speculative. That's why the beanie baby (a "hard asset") that you bought in 1999 hasn't beaten inflation
- mattwilsonn888 4y agoAssets are not "things that produce cash flow." They are simply property which has expected future value. You seem to be inebriated.
- danuker 4y agoHow do you count cash flow? Nominal? Or inflation-adjusted? If nominal, Venezuelan bolívars are the way to go. If inflation-adjusted, maybe you're on to something, but still depends how you measure inflation.